Confirming what you know and finding what you don't
Due diligence background investigations and compliance background checks. It’s easy to get them confused. Both processes verify that people and companies are who they say they are, and they’re both used for risk reduction. They help you decide – Do you want to, can you, do business with these people or entities? But due diligence […]
Lately I’ve been reading a lot about M&A and other deal-making processes. I’m learning who’s involved, what steps need to be taken before signing on the dotted line, and the risks involved at each step. What I find most interesting, though, is that due diligence is usually listed as the step taken just before signing […]
Due diligence background investigations come in all flavors. They’re generally customized according to industry, level of risk, and time constraints. There’s one component, though, that should be included in all background checks on people and companies – the media report. What’s a media report? It’s the section of a background investigation that covers news and […]
I recently had the opportunity to speak at the OACFE fraud conference about online due diligence background investigations. It’s always great to meet other fraud professionals and share my strategies and sources. In this presentation, I emphasize that one of the best ways to prevent fraud is to avoid going into business with fraudsters. If […]
Have you ever run a background check on yourself? I’m not talking about just googling your name. I’m talking about checking court and other public records, news, and even social media, and taking a deeper dive into your digital footprint to see what others might find out about you. At a recent social event, I […]
“Plays well with others” Remember your report cards from kindergarten? Early on, we were encouraged and graded on our ability to get along with classmates and teachers. Now that we’re all grown up (in some ways), it seem that we’re still learning. Thanks to recent high-profile alleged improprieties, the spotlight is definitely on how well […]
People often confuse a due diligence background investigation with other types of background checks, including employment, tenant, and regulatory checks. Unfortunately, this confusion can lead to a false sense of security. For example, some may feel that, since U.S. securities law requires broker-dealers to “fingerprint certain associated persons working in a non-registered capacity who may […]
When investigating companies and executives, digging for details means going beyond Google and trying specialized databases. Google is a great start for basic information, but due diligence requires a deep dive into the workings of your target company and how they operate – including the good, the bad, and the ugly. That’s why every serious […]
If ever there was a candidate for the Due Diligence Hall of Shame, this is it. Thanks to investigator Brian Willingham, who posts really good stuff on Twitter, I came across a recent NY Times article that describes the fraud and the outcome, and they’re both shameful. I’ll start with the outcome, and then I’ll […]
Writing about due diligence mishaps is a tricky proposition. It’s easy for me to second guess why someone goes through with a partnership or investment, even with obvious warning signs. Usually, the news sources provide few details, and it doesn’t seem fair to judge after the deal goes bad. And then there are the cases […]